Annual Comprehensive Financial
Report (ACFR) for FY 2022-23
Finance Committee
April 24, 2024
Annual Comprehensive
Financial Report
• Set of financial statements that comply with
accounting standards set by Government
Accounting Standard Board (GASB)
• Contains final actual results of prior fiscal
year’s financial activities
• Must be audited by an independent auditor
• Accompanied by a Memorandum on Internal
Control laying out any major issues
Financial Highlights
• Ended FY23 with a net position of $257.5 M
• Assets and Deferred Outflows of
Resources increased by $63.2 M
• Liabilities and Deferred Inflows of
Resources decreased by $21.5 M
• Pension liability increased by $83.1 M (59%)
• Revised actuarial valuations
• CalPERS reducing discount rate from
7.15% to 6.9%
Revenues
• Total revenue for FY23: $204.9 M
• Compared to FY22:
• Property Tax revenue increased by $1.4 M (5.2%)
• Sales Tax revenue decreased by $1.8 M (-3.2%)
• Property Transfer Tax revenue decreased by $5.6 M (-37.5%) Expenditures
• Total expenses for FY23: $163.2 M
• Compared to FY22:
• Police Department had a $9.4 M decrease (-11.1%)
• Staffing shortages and safety pension decrease compared to prior year • Community Development Department had an increase of $1.6M (12.6%) • Resumption of projects after delay in 2022
General Fund
• 80.0% of all revenues
• 83.4% of all expenditures
• FY23 ended with $11.9 M surplus
• Strong liquidity in fund balance
Other Funds
• All Enterprise Funds: ended FY23 with $75.8 M fund balance • All Internal Service Funds: ended FY23 with $18.0 M
Five Deficiencies Identified
• Turnover strained the ability to perform accounting functions
1. Lack of timely and accurate year-end close
2. Lack of timely bank reconciliation
3. Lack of timely posting of journal entries
4. Loan receivable was not recorded properly
5. Fair value adjustment of investment income not
recorded properly
• Finance Management acknowledges these deficiencies
• Accounting Unit is almost fully staffed
• Newest member is a CPA
• Will be hiring an Assistant Finance Director soon
• Will contract for additional CPA to lead ACFR process Questions and
Comments